The U.S. online shopping world's biggest day is here, but will strong web sales on Black Friday and Thanksgiving cut into Cyber Monday's take?
For the fiscal year ending Jan. 3, 2009, web sales at watch and accessories retailer Fossil Inc. rose 22.9% to $45.7 million, up $8.5 million from $37.2 million a year earlier.
For the fiscal year ending Jan. 3, 2009, web sales at watch and accessories manufacturer and retailer Fossil Inc. rose 22.8% to $45.7 million, up $8.5 million from $37.2 million a year earlier.
Total net sales for the fiscal year were up 10.5% or $15 million to $1.6 billion compared with $1.4 billion. Direct-to-consumer sales, which include company-owned retail stores, catalog and e-commerce, were $309.3 million up $54 million or 21% compared to $255.3 million a year earlier.
Web sales for the year accounted for 2.8% of total sales compared to 2.6% a year earlier.
The company did not break out its fiscal Q4 web sales, but its direct-to-consumer sales, totaled $109 million, compared to $90.8 million a year earlier, up $18.2 million or 20%.
Total sales for fiscal Q4 were $464.1 million virtually flat compared to $463.1 million a year earlier.
Fossil reported a fiscal year profit of $851.2 million, up 14.7% or $109.2 million compared to $742.0 million a year earlier. The manufacturer and retailer reported a fiscal Q4 profit of $242.4 million, down 2.4% or $6 million compared to $248.4 million a year earlier.
Fossil says it has implemented several cost savings measures including a hiring freeze and suspension of merit pay increases, bonus payments and the company 401(k) contributions. It also cut salaries for all executive officers and senior vice-presidents and is in the process of layoffs across the organization. Fossil predicts the move will help it save $16 million annually.
Fossil forecasts sales for Q1 of fiscal 2009 will fall 8% to 10%. For fiscal 2009, it expects sales to fall 6% to 10%. Fossil is No. 204 in the Internet Retailer Top 500 Guide.